The key factor is that there is still a soft tone to the U.K. economy and a clear absence of inflation,

The key factor is that there is still a soft tone to the U.K. economy and a clear absence of inflation.

The services-oriented sector of the economy is still looking fairly robust, averaging a 3.9 percent increase year-on-year. This is above the trend rate of inflation so that is upward pressure for the retail price index.

The data is very good and is a sign of a strong, resilient economy with sound fundamentals.

There is a persistent trend that we are seeing in Asian currencies and it has got to do with more than a view on Fed policy.

This raises the chances of an easing in French and German rates before the year end.